Why should Deliveroo workers on bikes risking their lives everyday without any kind of insurance pay tax to bailout a billionaire. Virgin was a zombie company going into this kept alive by low interest rates as they've never consistently earned a return on capital which justifies their existence.
Why should a Virgin pilot missing out on several nights of sleep every month, missing family births/birthdays, weddings, funerals etc, having paid £100,000+ for the privilege of gaining their licences, pay tax to top up the housing benefit or child tax credits of the Deliveroo driver? Or universal credit for the workshy? This is not a bailout of a billionaire (whose fortune is tied up in largely illiquid shares of the Virgin group - he's not sitting on a pile of cash) but a bailout of 8,500 ordinary workers all paying their taxes like your deliveroo driver. Some of those people will never be able to gain employment at the same salary again in their careers. The government will miss the tax revenue of those 8,500 Virgin staff and the hundreds of millions of APD from Virgin passengers. When does it become a zero-sum game?
You cannot justify a bailout of VS in a market economy. If you were super worried about suppliers then the state could buy it a for a pound a do a debt equity swap. But the first call should always be the equity sponsor. If they don't want to stump up then you find another route.
That's basically what the government has told them before they come back and ask for a state loan. Ultimately I think the government is unlikely to offer it to them based on the same reason they didn't give one to Flybe, Thomas Cook or Monarch: they have no collateral to secure the loans against. However, this downturn isn't just part of the natural business cycle, this is an extraordinary circumstance that virtually no one had planned for, not even government pandemic responses!
As for the BA/AA monopoly in the event of a Virgin collapse, there are more than just LHR-MIA without direct competition, but one-stop competition exists on every BA longhaul route where there's not direct competition. Should I be outraged that Delta has Indianapolis-Paris or Tampa-Amsterdam to themselves? London might be a big market, but Virgin (and even Norwegian) has shown that turning a profit isn't easy. London has suffered from over capacity for quite some time.